Confidence Wanes as Uncertainty Builds in the Q4 2015 Biopharma CEO Confidence Index

RALEIGH-DURHAM, N.C., Feb. 18, 2016 /PRNewswire/ -- Kineticos, in partnership with Ipsos Healthcare and Demy-Colton Life Science Advisors, today announced the Q4 2015 results of the Biopharma CEO Confidence Index, a forward-looking indicator designed to measure C-suite sentiment and confidence in the biopharma industry's economy. This confidence—or lack thereof—is defined by the degree of optimism within six key business indicators. In summary, 54 CEOs of US-based biopharmaceutical companies expressed more uncertainty in Q4 2015 compared to Q3 2015 in relation to capital markets and deal landscape while the other four areas, clinical development, regulatory affairs, commercialization, and business model and workforce, remained stable. Here are a few highlights from the Q4 Biopharma CEO Confidence Index: CEOs who were very confident in their ability to raise capital in the next 18 months declined from 53% in Q3 to 39% in Q4 CEOs who viewed the current deal landscape as good declined from 82% in Q3 to 61% in Q4 CEOs who were very confident in their ability to deliver therapies in 3-5 years remained stable in Q4 at 91% compared to 86% in Q3 Oncology (37%) and Neurology (33%) remain the focus of licensing transactions 33% of CEOs believed transaction values were increasing in Q4, compared to 59% in Q3 Three out of four CEOs outsource the majority of their clinical development functions A more extensive summary of the Q4 2015 Biopharma CEO Confidence Index is available at When asked about the results of the Q4 index, executives from all three partner organizations shared a similar sentiment. Steve Girling, President of Ipsos Healthcare, offered his commentary when asked if the Q4 results were in line with his expectations. "It's too early to call this slip in CEO confidence a trend, but as we know from the last significant market contraction in 2009, development stage company fortunes are inextricably tied to the cycle of the global financial markets. It will be fascinating to see the next wave of results!" Sara Demy of Demy-Colton Life Science Advisors made a similar observation: "As a conference organizer focusing exclusively in biopharmaceuticals and life sciences, we engage with this audience daily. The Q4 results are completely aligned with 1-1 conversations I've personally had with several biotech CEOs." Shailesh Maingi, CEO and Founder of Kineticos, also made comments on the broader picture: "CEOs, particularly ones that manage emerging biopharmaceutical companies, must have a long term perspective. The therapies being developed today for oncology, CNS, and immunology diseases reflect the promise of immuno-oncology, gene/cell therapy, pharmacogenomics, and other new technologies. Our confidence index reflects the optimism that biopharma CEOs have over the longer term, albeit at a level lower than a few months ago." About the Biopharma CEO Confidence Index The Biopharma CEO Confidence Index, is the first and only forward-looking indicator designed to measure C-suite sentiment and confidence in the biopharma industry's economy. This confidence—or lack thereof—is defined by the degree of optimism within six key business indicators, including: Capital Markets Deal Landscape Clinical Development Regulatory Affairs Commercialization Business Model and Workforce Measuring confidence through these indicators over time will demonstrate an ebb and flow of market dynamics and confidence in the future success of companies and growth in the overall market. About Kineticos Kineticos is a specialized management consulting firm serving the life science industry. The firm is focused on identifying opportunities to drive strategic growth and achieve operational excellence for its clients in the US, Europe, and Asia. Through its practice areas, the firm has experience working with companies across the life science industry ecosystem. For more information on Kineticos and its capabilities, please visit About Ipsos Healthcare Ipsos Healthcare is a fact-based research, consulting and strategy specialist in the global biopharmaceutical industry. For more information, please visit About Demy-Colton Life Science Advisors Demy-Colton Life Science Advisors produces highly specialized investor and business conferences exclusively for the biopharmaceutical and life sciences industry. For more information, please visit Contact: Kevin Hampton Kineticos 919-678-3206 [email protected]

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